DirecTV interested in buying video website Hulu: source

(Reuters) - The largest U.S. satellite video provider, DirecTV, is one of the companies considering a bid for online video website Hulu, according to a source familiar with the situation.

The person acknowledged that other parties were involved, adding that DirecTV was “one of many” suitors. Media reports have previously identified Time Warner Cable Inc as another company weighing a potential stake in the company.

Representatives of DirecTV and Time Warner Cable declined to comment on Friday.

Reuters reported in April that former News Corp president Peter Chernin had bid around $500 million for Hulu, the service he helped create in 2007. Reuters also reported that Guggenheim had been hired to advise Hulu and was also contemplating a bid.

DirecTV had circled Hulu once before, when the video company put itself on the block in 2011. Other suitors at the time included Google Inc, Amazon.com Inc and Dish Network Corp. Talks collapsed over the price of that deal.

Hulu has more than 3 million subscribers paying $7.99 a month for its premium service, and generated revenue of around $700 million last year. It sells advertising for its free service.

The Wall Street Journal was the first to report DirecTV’s interest on Friday.